Money management in India is straightforward once you know the landscape. The country has shifted dramatically towards digital payments in recent years, but cash remains essential for markets, street food, rural areas, and — of course — buying chai.
The Best Cards for India
For UK travellers, Starling Bank and Wise (Borderless account) are the gold standard. Both offer fee-free ATM withdrawals abroad and real mid-market exchange rates with no foreign transaction fees. Halifax Clarity and Chase UK are solid alternatives. Standard UK high-street bank cards (Lloyds, Barclays, HSBC) typically charge 2.75–3% foreign transaction fees plus ATM withdrawal fees — avoid using these as your primary card.
For US travellers, Charles Schwab Bank refunds all ATM fees worldwide and charges no foreign transaction fees — an unbeatable choice for India. Capital One 360 and Wise are excellent alternatives.
ATMs in India
ATMs (locally called ATMs or cash machines) are widely available in cities and larger towns. HDFC, ICICI, SBI, and Axis Bank ATMs are the most reliable for international cards. ATMs in small towns and rural areas can run out of cash, particularly after holidays. Withdraw enough cash before venturing off the main tourist trail.
Be aware of ATM skimming — use machines attached to bank branches rather than standalone booths where possible, and cover the keypad when entering your PIN.
Currency Exchange
The Indian Rupee (INR) cannot legally be brought into India or taken out in large quantities. Exchange currency on arrival or withdraw from ATMs. Avoid airport exchange desks — their rates are poor. In cities, authorised money changers (Thomas Cook, UAE Exchange, and bank branches) offer better rates. Always ask for the exchange rate and any commission before agreeing.
Never exchange money with touts approaching you on the street — a classic scam involves receiving a good rate in genuine notes on top, with counterfeit or old demonetised 500/1000 rupee notes beneath.
UPI and Digital Payments
India's UPI (Unified Payments Interface) is one of the world's most advanced payment systems. As of 2024, Wise, Google Pay (linked to an international card), and dedicated traveller apps allow some non-Indian bank users to make UPI payments. Check the current options before you go — this space evolves quickly and could save you significant ATM fees.
Many shops, restaurants, and even some street vendors now display QR codes. In cities, you can travel several days on digital payments alone, though you will still need cash for auto-rickshaws, small temples, and chai stalls.
Tipping Culture
Tipping is not obligatory but is appreciated and increasingly expected in tourist areas. A rough guide: 10% at sit-down restaurants (check if service charge is already added), 50–100 rupees for hotel porters, 200–500 rupees per day for private drivers, and 100–200 rupees for good tour guides. Street food and chai stalls do not expect tips, but rounding up is always welcome.
Budget Guide
- Budget traveller: ₹2,500–4,000/day (approx £25–40 / $30–50) covers a dorm bed or basic guesthouse, street food and local restaurants, local transport, and modest entrance fees.
- Mid-range: ₹6,000–12,000/day (approx £60–120 / $75–150) unlocks comfortable 3-star hotels, good restaurants, and private transport.
- Luxury: ₹20,000+/day (£200+/$250+) covers India's extraordinary palace hotels, fine dining, private guides, and premium trains.